Ms Moore resigned from the board guiding the $6 billion-plus renewal project on Sydney Harbour this week after months of pressure from council colleagues.

The board position would remain vacant following her resignation if the City of Sydney Council did not make another appointment, Ms Kenneally said.

Ms Keneally said Ms Moore’s decision to resign seemed to have been more to do with council politics than the merit of the project.

She rejected assertions that concerns about elements of the project had not been addressed.

Ms Moore, in her resignation letter, said issues she had raised about the removal of financial information from the Barangaroo contract, lack of community consultation and external control of the project had not been addressed.

“The concerns Ms Moore raised have been examined and are unfounded," Ms Kenneally said. “I am advised that other board members do not share her views."

Ms Kenneally said she was disappointed by Ms Moore’s decision to resign. It represented a signficant loss of opportunity for the City of Sydney to be directly involved in the project.

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Protesters from the Barangaroo Action Group said Ms Moore’s resignation was a win for democracy and that Ms Kenneally was being disingenuous when she claimed the BDA was committed to public consultation and transparency.

Chairman of the BDA board Mike Collins said the board would continue to work closely with Ms Moore and the City of Sydney as the project evolved.

“As regretful as her decision may be, the authority and all the other board members unanimously reject her assertions about transparency and public consultation."

Barangaroo South developer Lend Lease declined to comment.

The outcome of a public exhibtion of Lend Lease’s changes to approved plans for the site is expected in coming months.